Whenever I embrace him and kiss his nose or whenever I hug him. I really don't think its aggressive but its weird... Is this normal?

This is completely normal. In the dog world, you are dominating him with this kind of behavior. He obviously is insecure and feels that he is dominant over you. I suggest that you stop doing this because, even though you as a human feel that you are showing him love, he doesn't understand that as a dog.

Dogs don't normally growl when people pick them up when your dog does it you might want to him not to by saying no sternly as he soon as he does it even though it may not look aggressive it could be the start if something and he could do it to other people

yes i have a chihuahua who growls when you hold him however when you put him down he cries and wants up